KUALA LUMPUR (Dec 18): Petra Energy Bhd (PEB) is disposing of its entire holdings of 70,000 shares or 70% equity interest in loss-making Jurutera Perunding Akal Sdn Bhd (JPA) for RM141,189.03.

In a filing with Bursa Malaysia today, PEB said it has signed a shares sale agreement with JPA managing director and shareholder Chiew Chung Lee for the sale of the shares.

JPA reported a net loss of RM818,929.77 for the nine months to Sept 30, 2014. It is involved in engineering design and consultancy services.

“The proposed disposal will enable PEB and its subsidiaries to concentrate on the existing core business since JPA mainly focus on engineering design and project management services consultancy which is not related to oil and gas industry,” said PEB.

The group added that it will realise a loss of RM1.7 million on the disposal of the stake, proceeds of which will be used to finance PEB’s working capital requirement within 12 months of completion.

The proposed disposal is expected to be completed in the fourth quarter of this year.

In an announcement yesterday, the company had also proposed the divestment of its entire 51% stake in Bumi Subsea Sdn Bhd for RM430,912.45.

PEB shares climbed 8 sen or 5.03% to RM1.67, bringing its market capitalisation to RM537.32 million.